Question

You plan on going to school for 2 years. This venture will cost $29,116 each year...

You plan on going to school for 2 years. This venture will cost $29,116 each year you are in school. If the interest rate is 2%, how much money do you need today to fund this venture? Assuming that you start today and pay tuition by the end of each year. Round your answer to 2 decimal places.

Homework Answers

Answer #1

Please upvote if the ans is helpful.In case of doubt,Do comment.Thanks.

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
You plan to make annual deposits at the start of each year for 25 years into...
You plan to make annual deposits at the start of each year for 25 years into your retirement fund. The first 5 deposits are to be 2,000 each. Thereafter, you plan to increase the deposits by X per year. Assuming the fund can earn an effective annual interest rate of 6%, what must X be for you to have accumulated 250,000 at the end of the 25 years?
Q1-You have decided to start saving money for your future. What is the future value of...
Q1-You have decided to start saving money for your future. What is the future value of a 14-year annuity of $2,200 per year, assuming that you make your first payment today and the interest rate is 12 percent? (Enter your answer as a positive number rounded to 2 decimal places.) Q2-You need to have $24,856 available at the end of 9 years. How much to do you have invest each year, starting at the end of this year, for 9...
You are saving for your child’s college education. Tuition will be $30,000 each year for four...
You are saving for your child’s college education. Tuition will be $30,000 each year for four years, with the first tuition payment due 18 years from today. • How much do you need to deposit today in a bank account that earns 6% annual interest from now through the end of your child’s college education so that you will have enough money to meet all the tuition payments?
You are saving for the college education of your two children. They are two years apart...
You are saving for the college education of your two children. They are two years apart in age; one will begin college 13 years from today and the other will begin 15 years from today. You estimate your children’s college expenses to be $39,000 per year per child, payable at the beginning of each school year. The annual interest rate is 7.3 percent. Your deposits begin one year from today. You will make your last deposit when your oldest child...
You plan to retire in 28 years. At the point of retirement, you want to be...
You plan to retire in 28 years. At the point of retirement, you want to be able to withdraw 25,682 at the end of each year forever. Assume that you earn a 7.1% rate of return prior to retirement and an 5.69% rate of return after retirement. If you do not want to make any further contributions to your retirement fund, how much do you need today? Round answer to the nearest dollar.
1. You plan to save the following amounts $3,598 today $5,707 per year for the next...
1. You plan to save the following amounts $3,598 today $5,707 per year for the next 3 years $7,004 per year for the following 1 years $12,497 per year for the following 6 years $13,011 per year for the final 5 years Assuming you earn a 6.1% rate of return during the entire period, how much will you have at the END of the time horizon? Round answer to the nearest dollar. 2. What is the effective annual rate (keff)...
Your cousin is currently 12 years old. She will be going to college in 6 years....
Your cousin is currently 12 years old. She will be going to college in 6 years. Your aunt and uncle would like to have $ 120,000 in a savings account to fund her education at that time. If the account promises to pay a fixed interest rate of 4.5 % per​ year, how much money do they need to put into the account today to ensure that they will have $ 120,000 in 6 ​years?
How much will I need to set per month starting today to pay for 4 years...
How much will I need to set per month starting today to pay for 4 years of college if we assume the following. -Tuition this year is $15,000 -General inflation is 2% -The tuition inflation rate is expected to be 4% -I will set aside the money in a money market account which is expected to earn 5% -College will start in 10 years -Tuition needs for each year is paid at the beginning of each year -We only have...
You are saving money to go to graduate school. You've taken your first job and you...
You are saving money to go to graduate school. You've taken your first job and you plan to save $628 each month into the bank account that pays 6.69% compounded monthly for the next five years for your grad school fund. How much money will you accumulate by the end of year five? Please round your answer to the second decimal without dollar sign. e.g. 1.11
You calculate you’ll need $2,600,000 saved for retirement when you plan to retire in 40 years....
You calculate you’ll need $2,600,000 saved for retirement when you plan to retire in 40 years. You think you will earn 12% per year on your investments (ignore taxes) and currently have no savings. You want to save the same amount each month going forward (i.e. your monthly contribution to your retirement fund will always be the same), and you will save this amount at the end of each month. How much money do you need to save each month...